Capital One offers credit card hardship programs to help struggling customers. There are several ways to pay for your tuition, including payment plans, extensions, deferments, and payments arrangement programs. Capital One has decided that it is better to work with customers to help them pay some bills, rather than write off the entire account. Both the bank and their customer save money by offering an emergency or long term hardship type plan.
The hardship programs offered by Capital One can help you by waiving interest for up to a year, doing a debt settlement, deferring payments, or creating a payment plan. The credit card company is offering cardholders zero percent interest rates for up to six months to help them catch up on their payments, and also offers settlements of their entire account. Other ways to deal with student loans include making payment arrangements, postponing payments, and getting the lender to waive some fees. Some people are finding relief from the Capital One hardship programs by getting help with their payments. Others are getting help with their debt.
Examples of savings from Capital One hardship programs
A customer paid 60% of their outstanding credit card balance to Capital One. This means that Capital One will not tell the agencies that keep track of your credit history about the missed payments. This had a lasting effect on their credit scores. The customer called 1 800 955 6600 to speak to a representative.
Another cardholder was able to enter the hardship program that both deferred future payments and the lender had their interest rate lowered to .9%. Although the customer missed a couple payments while on the hardship plan, Capital One did not offer to settle the debt. It is very important that you do not miss a payment.
Some customers say that Cap One will not offer any type of assistance unless you stop making payments on your account. If you are not able to make payments on your debt, the creditor may send your account to a debt collector. At that point, you may be able to settle the debt or enter into a payment program. The customer had 60% of their debt waived after going through the process. If you do this, it could make your credit score go down.
I missed a few payments and Capital One threatened to sue me. This means that the account was sent to a company that specializes in recovering debts. The customer called and explained their situation, but they were transferred to different people multiple times. After contacting the bank multiple times, they were finally offered a hardship program. The plan combined not having to pay for a while as well as a repayment plan on their outstanding credit card debt. It was not easy to find the right person to talk to. The interest rate was 3% for the first year, and then they settled at 75% after a few months.
Losing a job is a difficult event for anyone, and can be especially stressful when it comes to figuring out how to pay bills. This person called the bank to explore their options and figure out a plan to make sure they could still pay their bills on time. A supervisor agreed to cut their interest rate in half after being transferred around a few times. Capital One agreed to work with the customer, even though they needed to provide proof of unemployment and other documentation.
A hardship plan was offered to a family that was struggling to pay for a medical emergency. This individual had strong credit scores and was given a settlement on some of their outstanding debt, as well as a lower interest rate on their account for a year. The credit card can only be used for expenses that are considered to be an emergency. They used to have over $6,200 in savings, but now they only have half of that.
The other customer’s job was at risk because the company was making changes that would send the work overseas. This short term reduction in income of the customer would have lead to them not being able to make some payments on their Capital One credit card. They contacted the lender and asked about their options. The lender offered them a hardship program that would postpone the payments for the next 3 months.
Capital One will sometimes call a customer who has always made their payments on time if there is a sudden change in their payment behavior. This means that the lender will work with the borrower to come up with a plan that will make it easier for the borrower to make their payments. This could involve lowering the monthly payment, extending the term of the loan, or both. Many people who have Capital One credit cards are offered a payment plan to help them pay off their credit card bills. Do not wait for the company to contact you; be proactive and reach out to them to get assistance with any outstanding credit card debts.
Applying for hardship or credit card payment plans from Capital One
The main number to dial for Capital One is 1-800-955-7070, or consumers can call the number on the back of their card. There are also other ways to get help, and find additional credit card assistance programs. If you are struggling to make your payments, always ask the customer service representative for payment plans, deferrals, or other forms of financial support. You can also ask for a referral to a Capital One emergency hardship program.